Microsoft has 10 days to give information EU needs to assess Bing’s AI features, or face fines up to 6% of global income

The European Commission is keeping a close eye on Microsoft’s generative AI tools, such as “Copilot in Bing” and “Image Creator by Designer,” which are offered by Bing. 

The EU regulator is concerned that these AI features could be risky to voters and democratic processes in the upcoming European Parliament elections this June.

According to the EU’s Digital Services Act (DSA), online platforms like search engines have a responsibility to assess and mitigate harms associated with their services. This includes risks like 

• the spread of misinformation, 
• deepfakes, and 
• automated manipulation tactics that could mislead voters. 

The EU suspects that Microsoft’s generative AI tools might be violating the DSA by failing to address these concerns.

The EU Commission requested information from Microsoft regarding the risks of these Bing features earlier in March this year. But, Microsoft has yet to provide the requested details. For this delay, the EU has set a new deadline of May 27, 2024, just a week after May 20, where Microsoft is planning to reveal new Surface devices and more. Here is what to expect.

If Microsoft fails to meet this deadline or provides the EU with incomplete or misleading information, they could face hefty fines. The EU has drafted penalties of up to 1% of Microsoft’s global annual income for non-compliance or providing misleading information. Not just this, daily fines could be imposed if Microsoft fails to respond within the designated timeframe. That’s a lot of fines.

In case Bing fails to reply within the deadline, the Commission may impose fines up to 1% of the provider’s total annual income or worldwide turnover and periodic penalties up to 5% of the provider’s average daily income or worldwide annual turnover.

Microsoft now has until May 27th to respond to the EU’s request. The EU will then assess the information provided and determine if further action is necessary. This could involve opening formal proceedings against Microsoft if the EU finds sufficient evidence of DSA violations.

More here.